XPO Inc (XPO) 2024 Q2 法說會逐字稿

Welcome to the XPO second-quarter 2024 earnings conference call and webcast. My name is Sachi. And I will be your operator for today's call. (Operator Instructions) Please note that this conference is being recorded.

歡迎參加 XPO 2024 年第二季財報電話會議和網路廣播。我的名字是佐知。我將擔任您今天通話的接線生。（操作員說明）請注意，本次會議正在錄製中。

Before the call begins, let me read a brief statement on behalf of the company regarding forward-looking statements and the use of non-GAAP financial measures. During this call, the company will be making certain forward-looking statements within the meaning of the applicable securities laws, which, by their nature, involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those projected in the forward-looking statements. A discussion of factors that could cause actual results to differ materially is contained in the company's SEC filings as well as in its earnings release. The forward-looking statements in the company's earnings release or made on this call are made only as of today, and the company has no obligation to update any of these forward-looking statements except to the extent required by law.

在電話會議開始之前，請我代表公司閱讀一份有關前瞻性陳述和非公認會計準則財務指標使用的簡短聲明。在本次電話會議期間，本公司將做出適用證券法意義內的某些前瞻性陳述，這些陳述本質上涉及許多風險、不確定性和其他因素，可能導致實際結果與預期結果有重大差異前瞻性陳述中預計。該公司向美國證券交易委員會提交的文件及其收益報告中包含了對可能導致實際結果出現重大差異的因素的討論。本公司收益發布中或本次電話會議中做出的前瞻性陳述僅截至今天，除法律要求的範圍外，本公司沒有義務更新任何這些前瞻性陳述。

During this call, the company may also refer to certain non-GAAP financial measures as defined under applicable SEC rules. Reconciliations of such non-GAAP financial measures to the most comparable GAAP measures are contained in the company's earnings release and the related financial tables or on its website. You can find a copy of the company's earnings release, which contains additional important information regarding forward-looking statements and non-GAAP financial measures in the Investors section of the company's website.

在此次電話會議中，本公司也可能參考適用的 SEC 規則中定義的某些非 GAAP 財務指標。此類非公認會計原則財務指標與最具可比性的公認會計原則指標的調節表包含在本公司的收益發布和相關財務表格或其網站上。您可以在公司網站的投資者部分找到該公司收益報告的副本，其中包含有關前瞻性陳述和非公認會計準則財務指標的其他重要資訊。

I will now turn the call over to XPO's Chief Executive Officer, Mario Harik. Mr. Harik, you may begin.

我現在將把電話轉給 XPO 執行長 Mario Harik。哈里克先生，您可以開始了。

Good morning, everyone. Thanks for joining our call. I'm here in Greenwich with Kyle Wismans, our Chief Financial Officer; and Ali Faghri, our Chief Strategy Officer.

大家早安。感謝您加入我們的通話。我和我們的財務長凱爾威斯曼斯 (Kyle Wismans) 一起在格林威治。以及我們的首席策略長 Ali Faghri。

This morning, we reported a strong second quarter for both revenue and earnings in a soft market for freight transportation. Company-wide, we grew revenue year-over-year by 9% to $2.1 billion. And we increased our adjusted EBITDA by 41% to $343 million. Adjusted diluted EPS was 58% higher year-over-year at $1.12.

今天早上，我們報告稱，在貨運市場疲軟的情況下，第二季的營收和收益均表現強勁。在全公司範圍內，我們的營收年增 9%，達到 21 億美元。我們調整後的 EBITDA 成長了 41%，達到 3.43 億美元。調整後攤薄每股收益年增 58%，達到 1.12 美元。

I'll start with the strategy that's driving our above-market earnings growth and margin expansion. There are four pillars for LTL 2.0. First is to provide world-class service. This revolves around the service metrics that are most important to our customers. In the second quarter, we improved one of the most important metrics, damage claims ratio, to a company record of 0.2%. This compares with 0.3% in the first quarter and 0.7% last year. Since late 2021, when we started LTL 2.0, we've driven more than a 75% reduction in damage frequency.

我將從推動我們高於市場的獲利成長和利潤率擴張的策略開始。LTL 2.0 有四個支柱。首先是提供世界一流的服務。這圍繞著對我們的客戶最重要的服務指標。第二季度，我們將最重要的指標之一——損失索賠率提高至 0.2%，創下公司紀錄。相比之下，第一季為 0.3%，去年為 0.7%。自 2021 年底啟動 LTL 2.0 以來，我們已將損壞頻率降低了 75% 以上。

We also improved our on-time performance on a year-over-year basis for the ninth consecutive quarter. We already have one of the industry's fastest networks of one- and two-day lanes and, when coupled with our strong on-time performance, this is a key differentiator for our customers. We achieved these improvements while handling higher volume across our network by prioritizing both operational excellence and network investment.

我們也連續第九個季度年增了準點率。我們已經擁有業界最快的一日和兩天航線網絡之一，再加上我們強大的準點效能，這對我們的客戶來說是一個關鍵的差異化因素。透過優先考慮卓越營運和網路投資，我們實現了這些改進，同時處理了整個網路的更高流量。

Specifically, we have two major levers with long runways to improve our service: one is the opening of 28 new service centers, and the other is our insourcing of purchased transportation. In addition, we're constantly implementing a number of shorter-term initiatives. For example, we now have the freight airbag system installed in over 95% of our service centers. We're seeing a strong return on this investment through a reduction in damage claims.

具體來說，我們有兩個主要槓桿來改善我們的服務：一個是開設28個新的服務中心，二是我們對購買的運輸進行內包。此外，我們也不斷實施一些短期措施。例如，我們現在超過 95% 的服務中心都安裝了貨運安全氣囊系統。透過減少損失索賠，我們看到這項投資獲得了豐厚的回報。

The second pillar is to invest in network capacity. Over the past three years, we've added nearly 14,000 trailers and more than 4,000 tractors to our fleet. This is a high return use of capital that allows us to in-source linehaul transportation, drive operational efficiencies, and improve customer service levels. So far this year, we've added over 1,900 new tractors, bringing down the average age to four years from five years at the end of 2023. These new tractors are more efficient to operate, resulting in a double-digit decline in our fleet maintenance costs in the second quarter.

第二支柱是投資網路容量。在過去三年中，我們的車隊增加了近 14,000 輛拖車和 4,000 多輛牽引車。這是一種高回報的資本利用，使我們能夠內源長途運輸、提高營運效率並提高客戶服務水準。今年到目前為止，我們已增加了 1,900 多台新拖拉機，平均車齡從 2023 年底的 5 年降至 4 年。這些新型拖拉機的運作效率更高，導致第二季我們的車隊維護成本出現兩位數下降。

We've also manufactured over 2,600 trailers year-to-date at our in-house production facility in Arkansas. As the only US freight transportation company to produce its own trailers, we can create capacity when our customers need it and at a lower cost. In addition, we're continuing to roll out the 28 service centers we acquired in December. We've opened 14 so far and expect to open another 10 in the back half of the year. The last four will be operational by early 2025, on track with our plan.

今年迄今為止，我們在阿肯色州的內部生產工廠還生產了 2,600 多輛拖車。作為唯一一家自己生產拖車的美國貨運公司，我們可以在客戶需要時以更低的成本創造運力。此外，我們也將繼續推出 12 月收購的 28 個服務中心。到目前為止，我們已經開設了 14 家，預計下半年將再開設 10 家。最後四個項目將於 2025 年初投入運營，符合我們的計劃。

These sites are in fast-growing freight markets. Each new center will help us operate more efficiently in the near term while giving us more capacity when the cycle recovers. Our larger footprint also reduces freight rehandling and brings us closer to our customers. And as our network continues to expand, the benefits of service will grow.

這些站點位於快速成長的貨運市場。每個新中心都將幫助我們在短期內更有效率地運營，同時在周期恢復時為我們提供更多產能。我們更大的佔地面積也減少了貨運再處理，使我們更接近客戶。隨著我們的網路不斷擴大，服務的優勢也將持續成長。

Our third area of focus is yield, which is our single-biggest opportunity for margin improvement. We've been reporting strong yield growth, and we're still in the early innings. In the second quarter, we grew yield, excluding fuel, by 9% year-over-year, which helped us deliver 440 basis points of adjusted operating ratio improvement. We have three distinct levers for yield improvement: we're aligning our price with the value we deliver, we're growing our accessorials business, and we're expanding our local customer base.

我們關注的第三個領域是收益率，這是我們提高利潤率的最大機會。我們一直在報告強勁的收益率成長，但我們仍處於早期階段。第二季度，我們的收益率（不包括燃料）年增 9%，這幫助我們實現了調整後營運比率改善 440 個基點。我們有三個不同的手段來提高產量：我們正在使我們的價格與我們提供的價值保持一致，我們正在發展我們的配件業務，我們正在擴大我們的本地客戶群。

In the second quarter, our contract renewal pricing increased year-over-year by high single digits for the fourth consecutive quarter, driven by the service improvements we're making. And accessorials generated double-digit revenue growth in the quarter. We're rolling out premium services that our customers are asking for, like our expanded trade show service. We recently opened a new service center in Las Vegas, and we're already seeing strong customer demand for this offering.

在第二季度，由於我們正在改進的服務，我們的合約續約價格連續第四個季度同比增長高個位數。配件在本季度實現了兩位數的收入成長。我們正在推出客戶要求的優質服務，例如我們擴展的貿易展覽服務。我們最近在拉斯維加斯開設了一個新的服務中心，我們已經看到客戶對此產品的強烈需求。

For our industrial base, we launched and expanded cross-border service called Mexico+ that adds more capacity and order crossing points to support our customers who are shifting production to North America from overseas. We're also continuing to earn more market share from our local customer base, which is a higher-margin business. In the second quarter, we increased shipments from local customers by over 9% compared with a year ago.

對於我們的工業基地，我們推出並擴大了名為「Mexico+」的跨境服務，增加了更多產能和訂單過境點，以支援將生產從海外轉移到北美的客戶。我們也繼續從本地客戶群中獲得更多市場份額，這是一項利潤率較高的業務。第二季度，我們本地客戶的出貨量較去年同期成長了9%以上。

The final pillar of our strategy is cost efficiency. The opportunities here are in purchased transportation, variable costs, and overhead. In the second quarter, we reduced our purchased transportation cost by 22% year-over-year through a combination of insourcing linehaul and paying lower contract rates to third-party carriers. We ended the quarter with 15.9% of linehaul miles outsourced to third parties, which was a reduction of 490 basis points year-over-year. This is the lowest level outsourced in our company's history, and we expect to accelerate the pace as we move forward.

我們策略的最後一個支柱是成本效率。這裡的機會在於購買的運輸、變動成本和管理費用。第二季度，我們透過內包長途運輸和向第三方承運商支付較低的合約費率相結合，將採購運輸成本比去年同期降低了 22%。截至本季末，我們將 15.9% 的長程運輸里程外包給了第三方，年比減少了 490 個基點。這是我們公司歷史上最低水準的外包，我們預計隨著我們的前進，會加快步伐。

When we transport the freight ourselves, we have more quality control and more flexibility. Our drivers and service centers can move freight faster with less rehandling, which reduces damages. We also get better utilization of our trailers by redeploying them at their destination. We expect to have a few hundred driver teams and sleeper cab trucks on the road by year-end to support more insourcing.

當我們自己運輸貨物時，我們有更多的品質控制和更大的靈活性。我們的司機和服務中心可以更快地運輸貨物，減少重新處理，從而減少損壞。我們還透過在目的地重新部署拖車來更好地利用它們。我們預計到年底將有數百個司機團隊和臥舖卡車上路，以支援更多的內包。

Lastly, we're continuing to manage labor cost effectively in our operations. This is a direct result of the team's execution as well as our proprietary technology for labor planning. The second quarter was our sixth straight quarterly improvement in labor productivity.

最後，我們將繼續在營運中有效管理勞動成本。這是團隊執行力以及我們勞動力規劃專有技術的直接結果。第二季是我們勞動生產力連續第六個季度提高。

Turning to Europe, our business continued to outperform the industry in a soft macro. On a year-over-year basis, we increased segment revenue by 4%. We also delivered the highest quarterly EBITDA since 2019 with year-over-year growth of 7%, driven by a combination of top line growth and disciplined cost control. Our strongest EBITDA growth was in the UK and France. In the UK, the increase was in the high teens. And in France, it was in the high single digits.

轉向歐洲，在疲軟的宏觀環境下，我們的業務繼續跑贏產業。與去年同期相比，我們的部門收入成長了 4%。在營收成長和嚴格的成本控制的共同推動下，我們也實現了 2019 年以來最高的季度 EBITDA，年成長 7%。我們最強勁的 EBITDA 成長來自英國和法國。在英國，增幅高達十幾歲。而在法國，這數字更高達個位數。

In summary, our strong results in the first half of the year demonstrate the disciplined progress we're making with the many initiatives we've put in place. Importantly, we're delivering record service levels with a direct connection between service and profitability. This dynamic is at the core of our strategy. It enables us to outpace the market with yield growth and profitable market share gains while operating more costs efficiently at scale.

總而言之，我們今年上半年取得的強勁業績證明了我們透過採取的許多措施所取得的有序進展。重要的是，我們正在提供創紀錄的服務水平，並將服務與盈利能力直接聯繫起來。這種動態是我們策略的核心。它使我們能夠透過產量成長和可獲利的市場份額成長超越市場，同時大規模有效地降低成本。

We're also continuing to invest capital where it can sustain high returns over time. These are all inherent strengths of our company that we'll use to improve the business in any environment. Together with our operating momentum, they create a powerful foundation for future growth.

我們也將繼續在能夠長期維持高回報的領域進行資本投資。這些都是我們公司的固有優勢，我們將利用它們來改善任何環境下的業務。與我們的營運動能一起，它們為未來的成長奠定了強大的基礎。

Now, I'm going to hand the call over to Kyle to discuss the financial results. Kyle, over to you.

現在，我將把電話轉交給凱爾，討論財務表現。凱爾，交給你了。

Thank you, Mario, and good morning, everyone. I'll take you through our key financial results, balance sheet, and liquidity.

謝謝你，馬裡奧，大家早安。我將向您介紹我們的主要財務表現、資產負債表和流動性。

We reported a strong second quarter across the company with revenue up 9% year-over-year to $2.1 billion. This includes top line growth of 12% in our LTL segment and 4% growth in Europe. Excluding fuel, our LTL revenue was up 13% year-over-year.

我們報告稱，該公司第二季業績強勁，營收年增 9%，達到 21 億美元。其中包括零擔業務收入成長 12%，以及歐洲收入成長 4%。不包括燃料，我們的零擔收入年增 13%。

As we took on more business in LTL, we also improved our labor productivity. From the first to second quarter, we reduced our headcount sequentially, while our shipments per day increased by 4%. This helped to mitigate the cost of salary, wages and benefits, which in total were 11.5% higher in the quarter than a year ago. This primarily reflects wage and benefit inflation as well as incentive compensation aligned with the segment's strong second quarter performance.

隨著我們承擔更多的零擔業務，我們的勞動生產力也提高了。從第一季到第二季度，我們連續減少了員工數量，而每天的出貨量卻增加了 4%。這有助於減輕工資、工資和福利成本，該季度的成本總計比去年同期高出 11.5%。這主要反映了工資和福利通膨以及與該部門第二季度強勁業績一致的激勵薪酬。

We were also more cost efficient with purchased transportation, primarily due to our insourcing initiatives. Our expense for third-party carriers was down year-over-year by 22%, which equates to a $19 million savings in the quarter. Additionally, we continue to improve our maintenance costs with our cost per mile down 12% year-over-year.

我們購買運輸的成本效益也更高，這主要歸功於我們的內包措施。我們為第三方營運商支付的費用年減了 22%，相當於本季節省了 1,900 萬美元。此外，我們繼續降低維護成本，每英里成本年減 12%。

Depreciation expense increased by 24% year-over-year or $15 million, reflecting investments we're making in the business. This continues to be our top priority for capital allocation in LTL. Our second quarter CapEx was primarily allocated to purchase tractors from the OEMs and manufacture more trailers in-house.

折舊費用年增 24%，即 1500 萬美元，反映了我們在業務上的投資。這仍然是我們零擔資本配置的首要任務。我們第二季的資本支出主要用於從原始設備製造商購買拖拉機並在內部製造更多拖車。

Next, I'll add some details to adjusted EBITDA, starting with the company as a whole. We generated adjusted EBITDA of $343 million in the quarter, up 41% from a year ago. Our adjusted EBITDA margin was 16.5%, which was a year-over-year improvement of 380 basis points. This was supported by margin improvement in both segments and the continued rationalization of our corporate cost structure. In the second quarter, our corporate net expense was $3 million for a year-over-year savings of 7%.

接下來，我將從整個公司開始，為調整後的 EBITDA 添加一些詳細資訊。本季調整後 EBITDA 為 3.43 億美元，比去年同期成長 41%。調整後 EBITDA 利潤率為 16.5%，年增 380 個基點。這得益於兩個部門的利潤率改善以及我們公司成本結構的持續合理化。第二季度，我們的公司淨支出為 300 萬美元，較去年同期節省 7%。

Looking at just the LTL segment, we grew adjusted operating income by 51% year-over-year to $214 million and grew adjusted EBITDA by 43% to $297 million. This reflects the combined impacts of our pricing gains, cost efficiencies, and the increase in volume. In our European transportation segment, adjusted operating income was $19 million, which was a 6% increase from the prior year. And we grew adjusted EBITDA by 7% to $49 million.

僅看零擔業務，調整後營業收入年增 51%，達到 2.14 億美元，調整後 EBITDA 成長 43%，達到 2.97 億美元。這反映了我們的定價收益、成本效率和銷售增加的綜合影響。在我們的歐洲運輸部門，調整後的營業收入為 1,900 萬美元，比上年增長 6%。調整後的 EBITDA 成長了 7%，達到 4,900 萬美元。

Returning to the company as a whole, we reported operating income of $197 million for the quarter, up 84% year-over-year. And we grew net income from continuing operations by 384% to $150 million, representing diluted earnings per share of $1.25. The increase in net income from continuing operations includes a onetime tax benefit of $41 million related to the reorganization of our legal entities in Europe.

回到公司整體，我們報告本季營業收入為 1.97 億美元，年增 84%。我們的持續經營淨利潤成長了 384%，達到 1.5 億美元，稀釋後每股收益為 1.25 美元。持續經營淨利潤的增加包括與歐洲法人實體重組相關的 4,100 萬美元一次性稅收優惠。

We expect to receive a net cash refund of approximately $45 million in 2025. Note that we excluded the tax benefit from adjusted net income in our second quarter reporting. On an adjusted basis, EPS increased by 58% year-over-year to $1.12. And lastly, we generated $210 million of cash flow from operating activities in the quarter and deployed $184 million of net CapEx.

我們預計到 2025 年將收到約 4,500 萬美元的淨現金退款。請注意，我們在第二季報告中排除了調整後淨利潤中的稅收優惠。調整後每股收益年增 58% 至 1.12 美元。最後，我們在本季的營運活動中產生了 2.1 億美元的現金流，並部署了 1.84 億美元的淨資本支出。

Moving to the balance sheet, we ended the quarter with $250 million of cash on hand. Combined with available capacity under our committed borrowing facility, this gave us $836 million of liquidity. We had no borrowings outstanding under our ABL facility at quarter end.

轉向資產負債表，本季末我們手頭現金為 2.5 億美元。加上我們承諾的借款安排下的可用能力，這為我們提供了 8.36 億美元的流動性。截至季末，我們的 ABL 貸款下沒有未償還借款。

Our net debt leverage ratio at the end of the quarter was 2.7 times trailing 12-months adjusted EBITDA. This was an improvement from 2.9 times at the end of the first quarter. And we expect to further reduce our leverage in the second half of the year. The ongoing investments we're making are enhancing our earnings growth trajectory and will support our long-term goal of achieving an investment-grade profile.

截至本季末，我們的淨負債槓桿比率為過去 12 個月調整後 EBITDA 的 2.7 倍。這比第一季末的2.9倍有所改善。我們預計下半年槓桿率將進一步降低。我們正在進行的投資正在增強我們的獲利成長軌跡，並將支持我們實現投資等級形象的長期目標。

Now, I'll turn it over to Ali who will cover our operating results.

現在，我將把它交給阿里，他將負責我們的經營績效。

Thank you, Kyle.

謝謝你，凱爾。

I'll start with our LTL segment, which reported another quarter of profitable growth, reflecting strong execution by our operational teams. On a year-over-year basis, we increased our shipments per day by 4.5% in the quarter, led by more than 9% growth in our local sales channel. Notably, we grew tonnage per day by 3.4%, which is an acceleration from 2.6% in the first quarter. Our weight per shipment was down 1.1% with the year-over-year decline moderating from the prior quarter. This was our fourth consecutive quarter of year-over-year improvement in weight per shipment.

我將從零擔業務部門開始，該部門報告了又一個季度的獲利成長，反映出我們營運團隊的強大執行力。與去年同期相比，本季我們的日出貨量成長了 4.5%，其中本地銷售管道成長了 9% 以上。值得注意的是，我們每天的噸位增加了 3.4%，比第一季的 2.6% 有所加快。我們的每批貨物重量下降了 1.1%，與上一季相比，年減幅度有所放緩。這是我們每批貨物的重量連續第四個季度同比改善。

On a monthly basis, year-over-year, our April tonnage per day was up 3.1%, May was up 2.4%, and June was up 4.6%. Looking just at shipments per day, April was up 4.7%, May was up 3.8%, and June was up 4.9%. For July, we estimate tonnage and shipments per day to be about flat year-over-year with both trends outperforming seasonality. On a two-year stack basis, July shipments per day and tonnage per day meaningfully accelerated versus June.

按月計算，4 月份的日均噸位年增 3.1%，5 月份增長 2.4%，6 月份增長 4.6%。僅從每日出貨量來看，4 月成長了 4.7%，5 月成長了 3.8%，6 月成長了 4.9%。我們預計 7 月的噸位和每日出貨量將與去年同期持平，這兩種趨勢都優於季節性。從兩年來看，7 月的每日出貨量和每日噸數較 6 月顯著增加。

Our pricing trends remain strong as we continue to align our pricing with our service quality and premium offerings. For the second quarter, our contract renewal pricing was up year-over-year by 8%.

隨著我們繼續將定價與服務品質和優質產品保持一致，我們的定價趨勢仍然強勁。第二季度，我們的合約續約價格年增 8%。

We also delivered another quarter of above market yield growth. We grew yield excluding fuel by 9% compared with the prior year. While our improving weight per shipment was a modest mix headwind to yield, our revenue per shipment ex-fuel increased sequentially for the sixth, consecutive quarter and was up 7.4% year-over-year. We expect to continue increasing both yield and revenue per shipment quarter-over-quarter in the back half of this year, reflecting ongoing momentum with our pricing initiatives.

我們也實現了又一個高於市場水平的收益率成長。與前一年相比，我們的產量（不包括燃料）增加了 9%。雖然我們每批貨物重量的增加對產量來說是一個溫和的混合阻力，但我們每批貨物（不含燃料）的收入連續第六個季度連續增長，同比增長 7.4%。我們預計今年下半年每季的產量和收入將繼續增加，這反映出我們定價舉措的持續勢頭。

Turning to margin. We improved our second quarter adjusted operating ratio by 440 basis points to 83.2%. We've now delivered year-over-year margin expansion of around 400 basis points for three consecutive quarters. Sequentially, our adjusted OR improved by 250 basis points coming in at the high end of our guided range. Our robust margin performance was primarily driven by yield and volume growth bolstered by our cost initiatives and productivity gains.

轉向邊距。我們將第二季調整後營業比率提高了 440 個基點，達到 83.2%。目前，我們的利潤率已連續三個季度年增約 400 個基點。隨後，我們調整後的 OR 提高了 250 個基點，處於指導範圍的高端。我們強勁的利潤率表現主要是由我們的成本計劃和生產力提高所推動的產量和銷售成長所推動的。

Moving to the European business. We improved volumes throughout the quarter with strong pricing that outpaced inflation. Our organic revenue growth in June was the highest year-to-date for the segment overall, and in the UK, an important market for us, organic revenue in June increased year-over-year by double-digits. Our sales pipeline has grown to a record $1.3 billion and the team continues to earn new business from blue chip customers, strengthening our position in key European geographies.

轉向歐洲業務。我們整個季度的銷量有所提高，定價強勁，超過了通貨膨脹。我們 6 月的有機收入成長是該細分市場迄今為止最高的，在我們的重要市場英國，6 月的有機收入比去年同期成長了兩位數。我們的銷售管道已成長至創紀錄的 13 億美元，團隊繼續從藍籌客戶那裡獲得新業務，鞏固了我們在歐洲主要地區的地位。

Before we go to Q&A, I want to summarize the considerable progress we're making toward becoming the LTL service leader in North America. Our service metrics are at record levels and there is ample runway for further improvement. This is earning us profitable market share and above market yield growth.

在進行問答之前，我想總結一下我們在成為北美零擔服務領導者方面所取得的巨大進展。我們的服務指標達到了創紀錄的水平，並且還有足夠的空間可以進一步改進。這為我們贏得了可獲利的市場份額和高於市場的收益率成長。

We're also optimizing our network with meaningful cost efficiencies, primarily through linehaul in-sourcing and labor productivity. And we just reported another strong quarter of revenue and earnings growth in a soft macro. We're confident that our strategy will drive significant margin expansion over the years to come.

我們也主要透過長途運輸內包和勞動生產力來優化我們的網絡，以顯著提高成本效率。我們剛剛報告了在疲軟的宏觀環境下又一個強勁的季度收入和盈利增長。我們相信，我們的策略將在未來幾年推動利潤率大幅成長。

Now, we'll take your questions. Operator, please open the line for Q&A.

現在，我們將回答您的問題。接線員，請開通問答線。

(Operator Instructions) Ken Hoexter, Bank of America.

（操作員指示）Ken Hoexter，美國銀行。

Hey. Great. Good morning. And congrats on the strong results. Maybe, Ali, just to kind of wrap on that, your tonnage and shipments accelerated in June. Maybe your thoughts on the market here. Is it share gains, benefits in new facilities? And relaying that, you've always given some thoughts on the sequential move in the operating ratio. Obviously, you've got a lot of seasonality that typically increases. Maybe your thoughts as we go into the third and fourth quarter. Thanks.

嘿。偉大的。早安.並祝賀取得強勁的成果。阿里，也許只是為了總結一下，你們的噸位和發貨量在 6 月有所加速。也許您對這裡的市場有什麼想法。是分享新設施的效益和好處嗎？並轉述這一點，您總是對營運比率的連續變化給出一些想法。顯然，季節性因素通常會增加。當我們進入第三季和第四季時，也許你有什麼想法。謝謝。

You got it, Ken. This is Mario. First, I'll start with the market. So we're continuing to see a soft freight market, but it's stable. If you look at the month of June, ISM was in the high-40s at 48, 49. And the industrial demand was relatively stable. It did pick up a bit from the month of May in terms of underlying demand on the industrial side, but again, not major growth there. On the retail side, the retail sales came in better, and we did see the retail sector also hold up and increase a bit as well. But sequentially, we did see a pickup in the month of June compared to where we were in May.

你明白了，肯。這是馬裡奧。首先，我將從市場開始。因此，我們繼續看到貨運市場疲軟，但很穩定。如果你看看 6 月份，ISM 處於 40 左右的高位，分別為 48、49。工業需求相對穩定。就工業方面的潛在需求而言，確實比 5 月有所回升，但同樣沒有大幅成長。在零售方面，零售額表現較好，我們確實看到零售業也保持成長並有所成長。但隨後，與 5 月相比，我們確實看到 6 月有所回升。

Now, if you take a step back on the quarter and July, starting there on tonnage, for us, July tonnage is, call it, about flattish, which outperformed seasonality by 1 point to 2 points. And we expect a similar outperformance for the third quarter as a whole. Now, when we look at seasonality, we do exclude the impact of COVID since, if you recall, Q2 to Q3 back then was a big upswing with the decline in Q2. And similarly, when you look at Yellow last year, it was outside of seasonal norms. So if you apply seasonality, it would imply tonnage in the third quarter to be down low single digits, and we expect to do better than that where we expect to be flattish on tonnage for the third quarter as a whole.

現在，如果你退一步回顧季度和 7 月，從噸位開始，對我們來說，7 月噸位基本上持平，比季節性好 1 到 2 個百分點。我們預計第三季整體表現將類似。現在，當我們考慮季節性時，我們確實排除了新冠疫情的影響，因為如果你還記得的話，當時的第二季到第三季是隨著第二季的下降而大幅上升的。同樣，當你看去年的黃色時，你會發現它超出了季節性標準。因此，如果您應用季節性因素，則意味著第三季的噸位將下降到較低的個位數，我們預計會比第三季整體噸位持平的情況更好。

Now, the other moving part for -- or going to your question on margin is on the yield front and where we expect a strong quarter for yield, ex fuel, as our initiatives continue to gain traction. We expect to be in the mid- to high-single-digit range on a year-on-year improvement for yield even as we lap the tougher comps. Weight per shipment could be a swing factor. We've seen that improve here through the course of the year for us. And it does imply an acceleration on a two-year stack for yield, Q3 versus the first half, and it does imply a sequential increase on an absolute dollar basis from Q2 going into Q3 as well.

現在，另一個令人感動的部分——或者說你關於利潤率的問題是在收益率方面，隨著我們的舉措繼續獲得關注，我們預計季度收益率（不包括燃料）將會強勁。即使我們超越了更嚴格的比較，我們預期收益率仍將保持在中高個位數範圍內。每批貨物的重量可能是一個影響因素。我們已經看到這一年的情況有所改善。這確實意味著第三季度與上半年相比，兩年期收益率有所加速，也確實意味著從第二季到第三季度，以絕對美元為基礎的連續成長。

Ultimately, from an OR perspective, we also expect a strong quarter for margin improvement. We expect OR to increase sequentially by 100 basis points to 150 basis points, which is in line with seasonality. Similar to my comments on volume, if you do exclude the outlier quarters with COVID and the Yellow bankruptcy, typical seasonality is 200 to 250 deterioration. And we expect to do much better than that, driven by volume, yield growth and all the cost efficiencies we're implementing.

最終，從 OR 的角度來看，我們也預期本季利潤率將出現強勁改善。我們預計 OR 將連續增加 100 個基點至 150 個基點，這與季節性相符。與我對成交量的評論類似，如果排除因新冠疫情和黃色破產而導致的異常季度，典型的季節性惡化為 200 至 250。在銷售量、產量成長和我們正在實施的所有成本效率的推動下，我們預計會做得更好。

Very helpful. Thank you, Mario.

非常有幫助。謝謝你，馬裡奧。

You bet.

你打賭。

Scott Group, Wolfe Research.

斯科特集團，沃爾夫研究。

Hey. Thanks. Just want to follow up on operating ratio. So thanks for the color on Q3. How are you now thinking about the full year guide in terms of full year OR? And then I don't -- I know it's early, but clearly, some continued good momentum on price and claims. How do you think this sets up from an OR perspective heading into 2025?

嘿。謝謝。只是想跟進營運率。感謝 Q3 的顏色。您現在如何看待全年 OR 方面的全年指南？然後我不——我知道現在還為時過早，但顯然，價格和索賠方面的一些持續良好勢頭。從 OR 的角度來看，您認為 2025 年的情況如何？

Hey, Scott. It's Kyle. So when you think about 2024, we think it's going to be a strong year of margin improvement. Initially, we thought the year would be in the150 basis point to 250 basis point range for the year of improvement, and we expect to land towards the high end of that range. And that's given the momentum we've seen so far in the first half and assuming a stable macro on the back half of the year.

嘿，斯科特。是凱爾。因此，當您考慮 2024 年時，我們認為這將是利潤率大幅改善的一年。最初，我們認為今年將處於 150 個基點至 250 個基點範圍內，作為改善之年，我們預計將達到該範圍的高端。考慮到我們在上半年所看到的勢頭，並假設下半年宏觀經濟保持穩定。

Scott, for 2025, we expect a strong year in 2025 for OR improvement and earnings growth as well. Now, obviously, we're not immune to the macro. Macro will be the biggest swing factor there, but we expect a very strong year. And if you take a step back, we are driving above-market yield growth, and that's driven by the continuous service improvements that we are doing across the network, and that's translating into us gaining profitable market share and customers want to give us more business. And we're driving higher yields since they know that for us to provide this great service, we got to invest in our business.

Scott，對於 2025 年，我們預期 2025 年 OR 改善和獲利成長也將強勁。現在，顯然我們也不能倖免於宏觀因素的影響。宏觀經濟將是最大的波動因素，但我們預計今年會非常強勁。如果你退後一步，我們正在推動高於市場的收益率成長，這是由我們在整個網路上進行的持續服務改進所推動的，這意味著我們獲得了可獲利的市場份額，客戶希望為我們提供更多業務。我們正在推動更高的收益率，因為他們知道，為了提供如此優質的服務，我們必須投資我們的業務。

We're also renting contributions from premium services and the growth of the local channel or the local accounts. When you look at premium services, we already launched a good number of them here through the course of the year between retail store rollouts or retail solutions to trade shows, to cross-border Mexico, expanding the service. And we're continuing to make great progress on insourcing. You saw here our results in the quarter. We got to a record level of insourcing of 15.9%. And we're ahead of our plan to get to the low double digit, low teens, and we expect to continue to accelerate that.

我們也從優質服務以及本地通路或本地帳戶的成長中獲得貢獻。當你看看優質服務時，我們已經在這一年裡推出了大量優質服務，從零售店推出或零售解決方案到貿易展覽，再到跨境墨西哥，擴大了服務範圍。我們在內包方面繼續取得巨大進展。您在這裡看到了我們本季的業績。我們的內包率達到了創紀錄的 15.9%。我們提前實現了實現低兩位數、低兩位數的計劃，並且我們預計將繼續加速這一目標。

And ultimately, we're opening up the new service centers, and these are contributing to cost efficiencies in the near term. But as the cycle starts inflecting at some point, they're going to give us more capacity as well, and they will be both OR accretive and EPS accretive in 2025. So overall, we expect a strong year. And we'll talk more about 2025 expectations as we report the fourth quarter results this year.

最終，我們將開設新的服務中心，這些中心將有助於在短期內提高成本效率。但隨著週期在某個時刻開始發生變化，它們也將為我們提供更多產能，並且到 2025 年它們將同時實現 OR 成長和 EPS 成長。因此，總體而言，我們預計今年將是強勁的一年。我們將在報告今年第四季業績時更多地討論 2025 年的預期。

And I have a -- did you give the pricing renewals number in the quarter?

我有一個 - 您是否提供了本季的定價續約數量？

Hey, Scott. It's Kyle. So the renewals in the quarter were up 8%.

嘿，斯科特。是凱爾。因此，本季的續訂量增加了 8%。

Thank you, guys. Appreciate it.

謝謝你們，夥計們。欣賞它。

You bet. Thank you.

你打賭。謝謝。

Daniel Imbro, Stephens Inc.

丹尼爾·因布羅，史蒂芬斯公司

Hey. Good morning, guys. Thanks for your questions. Maybe if we could follow up more on the pricing -- on the assets and OR side. I think there was a 5% gap when we came into this year between you and your best-in-class peer. I'm curious, how much of that you think you've captured so far? And you mentioned a few of the services you've rolled out. I'm curious, have you introduced enough to close that gap fully? I guess, how long do you think it would take to maybe close that accessorial pricing gap as well? Thanks.

嘿。早安，夥計們。感謝您的提問。也許我們可以在資產和 OR 方面的定價上進行更多後續追蹤。我認為今年剛開始的時候，你和你的一流同行之間存在著 5% 的差距。我很好奇，到目前為止你認為你已經捕獲了多少？您提到了您已經推出的一些服務。我很好奇，您是否已經介紹了足以完全縮小這一差距的內容？我想，您認為需要多長時間才能縮小配件價格差距？謝謝。

Yes, you got it. So when you look at it, the difference on accessorial revenue as a percent of total from where we are today and where we want to be and where best-in-class is, there's roughly a 5 points difference. So we have grown this last quarter accessorial revenue double digit on a year-on-year basis, and we are making inroads towards getting to that 15%.

是的，你明白了。因此，當你仔細觀察時，會發現輔助收入佔總收入的百分比與我們今天的水平、我們想要達到的水平以及一流的水平之間存在大約 5 個百分點的差異。因此，我們上個季度的配件收入同比增長了兩位數，並且我們正在努力實現 15%。

Currently, we're still in the, call it, low double digit, low-teens territory. And we believe that overall, over the years to come, if we gain an incremental point of yield from accessorials over the next, call it, three, four, five years, that would be a good cadence for us in terms of how we realize that.

目前，我們仍處於低兩位數、低十幾歲的領域。我們相信，總的來說，在未來的幾年裡，如果我們在接下來的三年、四年、五年內從配件中獲得增量產量點，那麼就我們如何實現這一目標而言，這對我們來說將是一個很好的節奏那。

In terms of the services themselves, as you know, Dan, whenever you launch a new service, a new product, you build the pipeline, you have all the -- your sellers and then you start building that pipeline over time. And we're seeing a lot of great traction. There's still roughly, call it, about three or four services we want to be launching over the course of the next year that we're currently working on. But we already have made really great progress on launching some of these services, like I mentioned, trade shows or retail store rollouts or retail solutions and many of these other services.

就服務本身而言，丹，正如你所知，每當你推出新服務、新產品時，你都會建立管道，你擁有所有的賣家，然後隨著時間的推移，你開始建立管道。我們看到了很多巨大的吸引力。目前我們正在開發的服務中，我們仍然希望在明年推出大約三到四項服務。但我們在推出其中一些服務方面已經取得了巨大進展，就像我提到的，貿易展覽或零售店推出或零售解決方案以及許多其他服務。

Got it. And just to clarify, that was 1 point per year for the next few years, Mario, was your expectation?

知道了。澄清一下，接下來的幾年裡每年 1 分，Mario，你的期望是這樣嗎？

This is how we think about it.

這就是我們的想法。

Great. Thanks so much. Best of luck.

偉大的。非常感謝。祝你好運。

You bet.

你打賭。

Fadi Chamoun, BMO Capital Markets.

Fadi Chamoun，BMO 資本市場。

Yes. Good morning. Thank you, Mario. So I mean big kind of piece of the OR improvement strategy over the medium term is kind of that revenue per shipment to outgrow the market consistently, and accessorial is part of that and all of these things. I'm wondering if you can give us kind of behind-the-scene description, maybe example, of how the service improvement in the last maybe six, eight quarters that you've been going at it have changed, the revenue mix have changed how your shipment profile with your customers changing or your customer profile is changing?

是的。早安.謝謝你，馬裡奧。因此，我的意思是，中期 OR 改進策略的很大一部分是每次發貨的收入持續增長超過市場，而配件是其中的一部分以及所有這些事情的一部分。我想知道您是否能給我們一些幕後描述，例如，您在過去的六、八個季度中所做的服務改進是如何變化的，收入組合是如何變化的您的客戶的發貨資料或您的客戶資料正在發生怎樣的變化？

Thank you. Thanks, Fadi. So if you take a step back, in our industry, customers want great service. And the reason why they want that because that avoids disruptions in their supply chain and how they move a product from their locations to their customers' locations. And as you said, Fadi, we've made tremendous progress on that. Over the last two years, we've reduced our damage claims ratio from 1.2%, a new company record here of 0.2%.

謝謝。謝謝，法迪。因此，退一步來說，在我們這個行業，客戶需要優質的服務。他們之所以希望這樣做，是因為這樣可以避免供應鏈中斷，也避免他們將產品從所在地轉移到客戶所在地的方式中斷。正如你所說，Fadi，我們在這方面取得了巨大進展。在過去兩年中，我們將損壞索賠率從 1.2% 降低到了 0.2%，創下了公司的新紀錄。

And our customers see that even we -- in our new service centers, we put a slogan that says, we love our customers, with three hearts next to it. And when you -- this is the relationship we're building with the customers. They want to give you more freight. They want to give you more profitable freight. So in terms of the impact on the mix, we are being disciplined in terms of what we're taking on.

我們的客戶看到，即使是我們，在我們的新服務中心，我們也放了一個口號，上面寫著“我們愛我們的客戶”，旁邊寫著三顆心。當您—這就是我們與客戶建立的關係。他們想給你更多的運費。他們希望為您提供更有利可圖的運費。因此，就對組合的影響而言，我們正在採取的措施方面受到約束。

So if we see a skid or a pallet that is nonconforming in size or doesn't fit well in an LTL network, if we see freight that is not operating at a desirable margin for whatever reason, whether it's a customer who's not willing to pay a premium price, then we are turning away that freight or we are pricing it accordingly. And if we see a customer who wants to grow with us, whose freight fits our network that operates at a good margin, we're onboarding that freight.

因此，如果我們看到尺寸不合格或不適合零擔網絡的滑橇或託盤，如果我們看到貨運由於某種原因而沒有以理想的利潤運行，無論是客戶不願意付款溢價，那麼我們將拒絕該運費，或我們相應地定價。如果我們看到一位客戶想要與我們一起成長，並且其貨運適合我們的網絡，並且利潤豐厚，我們就會加入該貨運。

So we are being selective in terms of the freight we are taking on while supporting our customers. And we're also growing that. In terms of mix, it's largely unchanged between the industrial side and the retail side. We're still at the same proportions. But where we are seeing faster growth is in the local channel. These are mom-and-pop shops. We have now 25% more sellers in our ranks, and we're being able to gain more profitable market share in that channel. So far, year-to-date, we've added more than 5,000 new customers in that channel. And we believe that that's going to grow with us here over the years to come.

因此，我們在支援客戶的同時對承運的貨運進行選擇性。我們也在不斷發展這一點。從結構上看，工業端和零售端基本上沒有變化。我們的比例仍然相同。但我們看到更快的成長是在本地通路。這些是夫妻店。現在，我們的賣家數量增加了 25%，並且我們能夠在該管道中獲得更有利可圖的市場份額。年初至今，我們已在該通路中增加了 5,000 多名新客戶。我們相信，在未來的幾年裡，這將與我們一起成長。

Okay. Appreciate it. Thank you.

好的。欣賞它。謝謝。

Thank you.

謝謝。

Chris Wetherbee, Wells Fargo.

克里斯‧韋瑟比，富國銀行。

Hey. Thanks. Good morning, guys. You guys have been opening new facilities. Not all of them are net new facilities, and I think you have still some in the back half of the year. But I guess, is there a way to think about sort of the relative profitability of the new facilities this year relative to maybe what the facilities have been -- that have been open for a longer period of time are operating at? I guess we're just trying to get a sense of maybe how things could look as we get into potentially a better tonnage environment in 2025 as those facilities ramp up.

嘿。謝謝。早安，夥計們。你們一直在開設新設施。並非所有設施都是淨新設施，我認為今年下半年仍有一些設施。但我想，有沒有一種方法可以考慮今年新設施相對於已經開放較長時間運營的設施的相對盈利能力？我想我們只是想了解隨著這些設施的增加，到 2025 年我們可能會進入一個更好的噸位環境，情況可能會是什麼樣子。

Good morning, Chris. This is Ali. So when you think about the sites we're launching here, as we noted before, we would expect these service centers to be OR neutral this year. As you move through the year, we're going to continue to ramp sites. We're going to have another 10 online by the end of the year, and then we'll open the remaining handful in early 2025.

早上好，克里斯。這是阿里。因此，當您考慮我們在這裡推出的網站時，正如我們之前指出的，我們預計這些服務中心今年將保持中立。隨著這一年的推移，我們將繼續擴大站點。到今年年底，我們將再開設 10 個線上網站，然後我們將在 2025 年初開放剩下的幾個。

As these sites continue to mature, we would expect them to turn OR accretive into 2025 and also EPS accretive as well. And everything we've seen so far from the 14 sites we've opened already confirm our view that as we get into 2025, these service centers are going to be contributing meaningfully from a bottom line perspective.

隨著這些網站的不斷成熟，我們預計它們將在 2025 年實現 OR 成長，並且 EPS 也將成長。到目前為止，我們從已開設的 14 個站點中看到的一切已經證實了我們的觀點，即進入 2025 年，這些服務中心將從盈利角度做出有意義的貢獻。

Got it. Thank you. Appreciate it.

知道了。謝謝。欣賞它。

Jonathan Chappell, Evercore ISI.

喬納森·查佩爾，Evercore ISI。

Thank you. Good morning. Ali, you mentioned revenue per hundredweight, ex fuel, continuing to increase sequentially throughout the rest of the year. Is mix starting to stabilize a little bit? And is this just pure core pricing and accessorials? Because you're coming up against some very difficult year-over-year comps, and sequential increases would insinuate kind of low- to mid-single digit year-over-year increases as well. So can you help us think about maybe the continued headwinds of mix versus the core pricing momentum?

謝謝。早安.阿里，您提到每英擔收入（不包括燃料）在今年剩餘時間內持續成長。混合是否開始穩定一點？這只是純粹的核心定價和配件嗎？因為你面臨一些非常困難的同比比較，連續的成長也會暗示著低到中個位數的年成長。那麼，您能否幫助我們思考一下組合與核心定價動力之間可能存在的持續阻力？

Sure, Jon. So when you think about mix, Jon, the biggest factor for us has been weight per shipment. Now, weight per shipment was down about 1% on a year-over-year basis in the second quarter. If you could just roll forward seasonality from what we saw in July from a weight per shipment standpoint through the rest of the quarter, we would expect weight per shipment in Q3 to be down in that 1% range year-over-year, similar to what we saw in the second quarter and a similar decline also in Q4 as well as our baseline forecast. So overall, we would expect mix from a weight per shipment standpoint to be relatively stable in the second half of the year relative to what we saw in the second quarter.

當然，喬恩。因此，喬恩，當您考慮混合時，對我們來說最大的因素是每批貨物的重量。現在，第二季每批貨物的重量比去年同期下降了約 1%。如果您可以從我們 7 月看到的每批貨物重量的角度將季節性推延到本季度剩餘時間，我們預計第三季度每批貨物的重量將同比下降 1% 的範圍，類似於我們在第二季度看到的情況以及第四季度也出現了類似的下降以及我們的基準預測。因此，總體而言，從每次出貨重量的角度來看，我們預計下半年的組合相對於第二季相對穩定。

When you think about our revenue per shipment outlook, we do expect a strong year from a revenue per shipment standpoint. As I noted earlier, we would expect revenue per shipment to increase sequentially, both in Q3 and in Q4, and also accelerate on a two-year stack basis as well in the second half of the year versus the first half of the year. And our ability to drive that sequential improvement in two-year stack acceleration really goes back to all of the company-specific pricing initiatives that we're executing on that are allowing us to drive that above-market growth.

當您考慮我們的每次出貨收入前景時，我們確實預計從每次出貨收入的角度來看，今年將是強勁的一年。正如我之前指出的，我們預計第三季和第四季的每次出貨收入將連續成長，下半年與上半年相比也會在兩年基礎上加速。我們推動兩年堆疊加速連續改進的能力實際上可以追溯到我們正在執行的所有公司特定定價計劃，這些計劃使我們能夠推動高於市場的成長。

Got it. Thanks, Ali.

知道了。謝謝，阿里。

Stephanie Moore, Jefferies.

史蒂芬妮·摩爾，杰弗里斯。

Hey. Good morning, everyone. This is Joe Hafling on for Stephanie. Congrats on the good results. I guess I wanted to ask on the terminal openings and you mentioned the OR-neutral impact. So I kind of wanted to ask on how are you able to mitigate these cost headwinds from new terminal openings? Is it just better revenue quality flowing through the new terminals? You mentioned from a near-term perspective, it almost sounded like it was a cost or productivity advantage compared to some of your peers seeing some growing pains on the new terminal headwinds. I wanted to know how you're able to kind of keep that OR-neutral outlook on the new terminal opening. Thanks.

嘿。大家早安。這是史蒂芬妮的喬·哈夫林。恭喜取得好成績。我想我想問終端開口問題，你提到了“或”中性的影響。所以我想問一下，你們如何能減輕新航廈開放帶來的成本阻力？只是透過新航站樓帶來的收入品質更好嗎？您提到，從近期的角度來看，與您的一些同行在新的終端逆風中看到的一些成長的煩惱相比，這聽起來幾乎是一種成本或生產力優勢。我想知道你們如何能夠對新航站樓的開放保持“或”中立的看法。謝謝。

Joe, this is Mario. So when you think of the openings that we are doing, so, so far, we opened up 14 service centers out of the 28 that we acquired. And out of the mix of these service centers, six of them are net adds. So these are markets where we are adding an incremental terminal, and eight are relocations where we went from a smaller service center to a larger service center.

喬，這是馬裡奧。所以當你想到我們正在做的空缺時，到目前為止，我們在收購的 28 個服務中心中開設了 14 個。在這些服務中心的組合中，其中六個是淨增加的。因此，這些市場是我們增加增量終端的市場，其中八個是我們從較小的服務中心搬遷到較大的服務中心的市場。

Now, keep in mind that we already have a network that covers all ZIP codes in North America. So for us, the openings are about adding capacity, but in the near term, it's about gaining efficiency and improving service as well. So when you think of the first tier of service centers that we've opened up, we've only added 15 net headcount to support these openings and compare that to, we have 23,000 people. So it has almost no impact, no impact on cost. And the team has been executing very well on these openings.

現在，請記住，我們已經擁有一個覆蓋北美所有郵遞區號的網路。因此，對我們來說，空缺是為了增加產能，但在短期內，也是為了提高效率和改善服務。因此，當你想到我們開設的第一層服務中心時，我們只增加了 15 名淨員工來支持這些空缺，相比之下，我們有 23,000 名員工。所以它幾乎沒有影響，對成本沒有影響。團隊在這些空缺職位上執行得非常好。

To give you an example, if you look at a market like Brooklyn, New York, we used to have 30, 40 doors in that market, small yards, we were tapped out on capacity. Now, we moved into one of the largest service centers in Brooklyn, north of 80 doors, beautiful yard, gives us much more capacity.

舉個例子，如果你看看紐約布魯克林這樣的市場，我們過去在那個市場有 30、40 個門，院子很小，我們的容量已經耗盡。現在，我們搬進了布魯克林最大的服務中心之一，北面有 80 個門，美麗的院子，為我們提供了更多的容量。

If you look at a market like Nashville, for example, we used to have a site in southeast of Nashville. And every day, we used to dispatch 30, 35 drivers north of Nashville for an hour each way to get to the customer pickup and delivery locations. Well, as soon as we opened up our Goodlettsville location north of Nashville, we relocated 35 of our drivers to that new location. And now, we can cover that market with 10 to 15 minutes' drive time to get to the customer locations.

例如，如果你看看像納許維爾這樣的市場，我們曾經在納許維爾東南部擁有一個站點。我們每天都會派遣 30 到 35 名司機前往納許維爾以北，單程一小時到達客戶取貨和送貨地點。嗯，當我們在納許維爾北部的古德利茨維爾開設分店後，我們將 35 名司機搬到了新地點。現在，我們可以透過 10 到 15 分鐘的車程到達客戶所在地，從而涵蓋該市場。

So all of these service centers we opened up so far had been on track, on time, it's either meeting or exceeding our expectation on cost efficiencies. And when we've opened them up, we've seen, just in linehaul alone, 2 points to 3 points of productivity pickup associated with the more space that we have with these service centers. So the execution has been very well -- going very well, and then we expect that to continue here through the course of the year going into early next year.

因此，到目前為止，我們開設的所有這些服務中心都已步入正​​軌，按時完成，達到或超出了我們對成本效率的預期。當我們打開它們時，我們發現，僅在長途運輸中，我們在這些服務中心擁有的更多空間就提高了 2 到 3 個百分點的生產力。因此，執行情況非常好——進展非常順利，我們預計這一情況將在今年持續到明年初。

Great. Really impressive stuff. Thanks for the time. And congrats on the quarter.

偉大的。真是令人印象深刻的東西。謝謝你的時間。恭喜本季。

Thank you.

謝謝。

Tom Wadewitz, UBS.

湯姆‧瓦德維茨，瑞銀集團。

Hi. Yeah. Good morning. And yeah, really strong results. I wanted to see, Mario, if you could give us any thoughts on what might cause deviation versus normal seasonality in 3Q. I think you tend to give us a somewhat conservative framework and consistently give good results. What do you think might help you do better than that 100, 250 in deterioration sequentially in OR?

你好。是的。早安.是的，結果非常強勁。馬裡奧，我想知道您是否能給我們任何關於可能導致第三季與正常季節性偏差的想法。我認為你們傾向於給我們一個有點保守的框架，並且總是給出良好的結果。您認為什麼可以幫助您比 OR 中連續惡化的 100、250 次做得更好？

And then just a broader question as well. I think there have been concerns about pricing environment given the soft backdrop and that there might be some kind of wrinkles and a little bit of increase in competition. And I just wanted to get your thoughts on whether you're seeing that at all or whether you're just kind of seeing continued, very stable, very favorable pricing backdrop. Thank you.

然後還有一個更廣泛的問題。我認為，鑑於疲軟的背景，人們一直對定價環境感到擔憂，並且可能會出現某種問題，競爭也會加劇。我只是想了解一下您是否真的看到了這種情況，或者您是否只是看到了持續、非常穩定、非常有利的定價背景。謝謝。

Thanks, Tom. First off, to clarify, in the third quarter, we would be in line with seasonality. But when you exclude the outlier quarters of COVID or the Yellow bankruptcy, we are meaningfully doing better than seasonality on OR sequential changes from Q2 into Q3.

謝謝，湯姆。首先，需要澄清的是，在第三季度，我們將與季節性保持一致。但是，當您排除新冠疫情或黃色破產的異常季度時，我們在第二季到第三季的連續變化方面比季節性做得更好。

But this said, when you look at what could allow us to outperform the high end of the range of the 150 to 250 full year guide, a lot of it would be based on, one, what happens in the -- from a macro perspective, we're not assuming any improvement. We're assuming a stable macro, but no pickup in demand in the back half of the year. So obviously, if we see stronger demand, that could lead to better results.

但這就是說，當你考慮什麼可以讓我們超越 150 至 250 全年指南的高端時，其中很大一部分將基於，一，從宏觀角度來看，發生了什麼，我們不假設有任何改進。我們假設宏觀經濟穩定，但下半年需求不會回升。顯然，如果我們看到更強勁的需求，可能會帶來更好的結果。

There are also a lot of idiosyncratic things that we are executing on when it comes to, for example, insourcing third-party linehaul. If we execute faster than we expect, the cost flow-through there would be beneficial. Similarly, when it comes to some of the new services we are launching, the premium services we're launching, we currently have a great pipeline. We're converting that pipeline. If that goes ahead of plan, we can see upside as well. So there are many of these initiatives that we're doing. If we see upside in them, we expect to do better than where we are currently landing for the full year.

我們還在執行許多特殊的事情，例如內包第三方線路。如果我們的執行速度比我們預期的要快，那麼那裡的成本流動將會是有益的。同樣，當談到我們正在推出的一些新服務、我們正在推出的優質服務時，我們目前有一個很好的管道。我們正在轉換該管道。如果這比計劃進行得更快，我們也可以看到好處。我們正在採取許多此類措施。如果我們看到它們的好處，我們預計全年會比目前的情況更好。

Now, when you take a step back and you think about the pricing environment, we're still seeing a very favorable pricing environment in our industry. If you look at our yield numbers, as Ali mentioned earlier, we expect acceleration on a two-year stack, a sequential acceleration as well on yield. Our contract renewals were, call it, 8% in the second quarter. We expect to be in the same ballpark in the third quarter as well.

現在，當您退一步考慮定價環境時，我們仍然看到我們行業的定價環境非常有利。如果你看看我們的殖利率數據，正如阿里之前提到的，我們預計兩年內會加速，殖利率也會持續加速。第二季我們的合約續約率為 8%。我們預計第三季也將處於同樣的水平。

We continue to see a good environment out there, especially if you're providing a great service product that we are. That is the biggest driver for being able to drive those meaningful yield improvements, and we're seeing that materialize in our business.

我們繼續看到良好的環境，特別是如果您提供像我們一樣優質的服務產品。這是能夠推動這些有意義的產量提高的最大驅動力，我們正在看到這一點在我們的業務中實現。

So, okay. So you're really not seeing a change in the competitive dynamic?

那麼，好吧。那麼您真的沒有看到競爭動態改變嗎？

No, we're not seeing it in terms of overall industry.

不，我們沒有從整個產業的角度看到這一點。

Okay. Great. Thanks for the time.

好的。偉大的。謝謝你的時間。

Thank you.

謝謝。

Brian Ossenbeck, JPMorgan.

布萊恩‧奧森貝克，摩根大通。

All right. Thanks. Good morning. So Mario, you said you're still in the early innings of the yield story at XPO. Renewing at high single digits now, I wanted to see what your confidence or what you think is driving that in the future as you look into next year.

好的。謝謝。早安.馬裡奧，你說過你仍處於 XPO 收益故事的早期階段。現在以高位數續訂，我想看看您的信心或您的想法在您展望明年時會推動未來的發展。

And then maybe, Kyle or Ali, if you can give us a little bit more clarity, details behind the different cost buckets that are getting you to that OR progression, whether it's labor productivity, additional linehaul, insurance was a decent improvement here in the quarter. So anything more specific on those separate buckets behind the OR would be helpful.

And then maybe, Kyle or Ali, if you can give us a little bit more clarity, details behind the different cost buckets that are getting you to that OR progression, whether it's labor productivity, additional linehaul, insurance was a decent improvement here in the四分之一.因此，任何有關 OR 後面的單獨儲存桶的更具體的資訊都會有所幫助。

Yeah. I'll start first with the contract renewal, what gives us confidence in pricing. So we expect to outperform the market from a yield growth perspective, but we're obviously not immune to the macro. If things change from an underlying demand perspective, that could change the environment. And if things pick up, you would see massive yields improvement in our business.

是的。我將首先從續約合約開始，這讓我們對定價充滿信心。因此，從殖利率成長的角度來看，我們預期會跑贏市場，但我們顯然也無法免於宏觀經濟的影響。如果從潛在需求的角度來看情況發生變化，那麼環境可能會發生變化。如果情況好轉，您會看到我們業務的產量大幅增加。

And there are three reasons for that. Number one starts with service. The service improvements we're doing for our -- we're making for our customers are drastic. I mean, if you think about where we were two years ago to where we are now, and we hear it from our customers all the time when they see the level of support we're giving them, the focus on picking up on time, delivering on time, delivering damage-free every single time, that leads to customers, again, want to give you a profitable market share. And they understand that we got to charge a price for that.

原因有三個。第一要從服務開始。我們為我們的客戶所做的服務改進是巨大的。我的意思是，如果你想想我們兩年前的處境和現在的處境，當我們的客戶看到我們為他們提供的支持水平以及對準時接貨的關注時，我們總是聽到他們這樣說，按時交付、每次交付都無損，這會再次導致客戶希望為您帶來可獲利的市場份額。他們明白我們必須為此定價。

The second area is around the premium services. That's a big opportunity for us. As I mentioned earlier on, we want to go, call it, from the low double-digit, low-teen accessorial as a percent of revenue to the mid-teens. And that's another opportunity as we continue to roll out these premium services and build the pipeline. And that pipeline converts, we're going to see more profitable freight in that segment.

第二個領域是優質服務。這對我們來說是一個很大的機會。正如我之前提到的，我們希望從低兩位數、低青少年的輔助收入佔收入的百分比上升到中青少年。這是我們繼續推出這些優質服務並建立管道的另一個機會。隨著管道的轉變，我們將看到該領域的貨運利潤更高。

And then finally, on the local channel, we've onboarded all the local -- the incremental local sellers we've wanted to add since last year. And now, as these local sellers ramp and their contributions become -- continues to build, we're going to see higher growth in that channel, which comes at a higher yield and a higher margin as well. So these are the three levers that we look at in terms of that yield improvement.

最後，在本地通路上，我們已經加入了所有本地賣家——自去年以來我們一直想增加的增量本地賣家。現在，隨著這些本地賣家的成長和他們的貢獻不斷增加，我們將看到該管道的更高成長，這也帶來更高的收益率和更高的利潤率。因此，這些是我們在提高產量方面所關注的三個槓桿。

And then from a cost standpoint, Brian, if you think about salary, wage and benefit, it's just labor being our largest cost element. In terms of headcount for Q3, we think we're going to be up less than our shipment growth sequentially. We would expect shipments per day in the third quarter to be up modestly. But we're going to do what we did in Q2, when we were up sequentially 4% on shipments and headcount was actually down. So I think when you think about that cost area, which is our largest, you think you're probably up mid-single digit quarter-on-quarter.

然後，從成本的角度來看，布萊恩，如果你考慮薪水、薪資和福利，那麼勞動力就是我們最大的成本要素。就第三季的員工人數而言，我們認為我們的增幅將低於出貨量的環比增幅。我們預計第三季的每日出貨量將小幅成長。但我們將繼續第二季度的做法，當時我們的出貨量較上季增加了 4%，而員工人數實際上有所下降。因此，我認為，當您考慮我們最大的成本領域時，您會認為季度環比可能會上漲中個位數。

And then probably the second area I'd point to is linehaul insourcing, we're going to continue to insource more linehaul. You saw purchased transportation down 22% in the second quarter. I'd expect that improvement to continue and accelerate in the third quarter.

我要指出的第二個領域可能是長途運輸內包，我們將繼續內包更多長途運輸。您看到第二季運輸採購量下降了 22%。我預計這種改善將在第三季繼續並加速。

And anything in particular on insurance? Is that just lumpy from quarter-to-quarter?

保險方面有什麼特別的嗎？只是每季的情況都不穩定嗎？

From a Q2 perspective, we think insurance is going to be fairly consistent when you think sequentially.

從第二季的角度來看，我們認為當你按順序思考時，保險將相當一致。

Bruce Chan, Stifel.

布魯斯·陳，斯蒂菲爾。

Yes. Thanks. And good morning, everyone. Maybe just a follow-up, Ali, on those comments around the PT reductions accelerating in the back half. Really nice to see that, I think, especially in a world with cheap spot and soft demand here. Can you maybe just remind us of what your target is for that outsourced linehaul percentage this year and long term? And then, maybe help us think through any market factors that would influence the pace of reductions, whether up or down?

是的。謝謝。大家早安。阿里，也許只是關於後半段加速減少 PT 的評論的後續行動。我認為，很高興看到這一點，尤其是在現貨價格便宜且需求疲軟的世界。您能否提醒我們今年和長期的外包線路百分比目標是多少？然後，也許可以幫助我們思考任何會影響削減速度的市場因素，無論是向上還是向下？

Sure, Bruce. So when you think about our progress that we made in the second quarter, we were able to bring our third-party linehaul miles as a percentage of total down to sub-16%. It came in at 15.9%, which was a company record for us and improved by nearly 500 basis points on a year-over-year basis.

當然，布魯斯。因此，當您考慮我們在第二季度取得的進展時，我們能夠將第三方長途運輸里程佔總里程的百分比降至 16% 以下。該比率為 15.9%，這是我們的公司記錄，比去年同期提高了近 500 個基點。

Now, our goal is to get that number down to the low teens by 2027. However, given the progress that we've made so far over the last several quarters, we would expect it to get there much quicker. And our goal would be to continue insourcing even beyond that into the single digits. More recently, we have been rolling out initiatives to accelerate that pace of insourcing, specifically team drivers and sleeper cab trucks. We'd expect to have a few hundred of these teams in our fleet by the end of the year, and that's going to allow us to accelerate that pace of insourcing even beyond what you've seen us deliver over the last several quarters.

現在，我們的目標是到 2027 年將該數字降至十幾歲。然而，考慮到我們在過去幾個季度迄今為止所取得的進展，我們預計它將更快地實現這一目標。我們的目標是繼續內包，甚至超越這個數字。最近，我們一直在推出旨在加快內包步伐的舉措，特別是團隊司機和臥舖卡車。我們預計到今年年底，我們的車隊中將擁有數百個這樣的團隊，這將使我們能夠加快內包的步伐，甚至超出您在過去幾個季度所看到的交付速度。

In terms of the market factors influencing the pace of insourcing, we have a lot of confidence that we can deliver the continued insourcing in any macro environment. So our expectation is, is that as we move into the second half of the year and into 2025, you're going to continue to see both linehaul miles as a percentage of total as well as our purchased transportation expense on the P&L continue to move lower.

就影響內包節奏的市場因素而言，我們有信心在任何宏觀環境下都能持續進行內包。因此，我們的預期是，當我們進入今年下半年和 2025 年時，您將繼續看到長途運輸里程佔總里程的百分比以及我們在損益表上購買的運輸費用繼續變化降低。

Great. That's very helpful. Thank you.

偉大的。這非常有幫助。謝謝。

Ravi Shanker, Morgan Stanley.

拉維‧尚克，摩根士丹利。

Thanks, everyone. Mario, you said earlier that you're seeing outsized growth in small local channel, mom-and-pop business versus national accounts. Can you unpack that a little bit more? Because I thought that maybe 12, 15 months ago, kind of you had onboarded a couple of large national accounts as well. Kind of how is that mix shifting. What is the actual kind of mix difference between the local channel and the enterprise channel? And also, usually in up cycles, which part of the business kind of accelerates faster, the national networks or the local networks?

謝謝大家。馬裡奧，您之前說過，與國民帳戶相比，您看到小型本地通路、夫妻店業務的大幅成長。你能把它再拆開一點嗎？因為我認為也許 12、15 個月前，您也加入了幾個大型國民帳戶。這種混合變化是怎樣的。本地通路和企業通路的實際組合差異是什麼？而且，通常在上升週期中，哪一部分業務加速得更快，是國家網路還是本地網路？

Thanks, Ravi. When you look at our local channels, so the shipment growth in that channel here over the last quarter was above 9%, compare that to the overall network, has grown. It's almost double the rate of growth for the rest of the network. So we're seeing meaningful progress in terms of getting more of those stickier relationships with local accounts. And the reason why that's really good business, again, it's a higher-yielding business, but you also have a great local relationship with that customer that can grow with you over time as they grow their business.

謝謝，拉維。當你看到我們的本地通路時，上個季度該通路的出貨量成長超過 9%，與整個網路相比，已經有所成長。這幾乎是網路其他部分成長率的兩倍。因此，我們在與本地客戶建立更多、更牢固的關係方面看到了有意義的進展。這之所以是真正的好生意，再次是因為它是一項收益較高的業務，但您也與該客戶建立了良好的本地關係，隨著時間的推移，隨著他們業務的發展，這種關係可以與您一起成長。

Now, in terms of how they react to a macro environment, they are about the same. I mean what you typically see with the local accounts is that in a softer macro, the weight per shipment in that channel goes down higher than in a strong macro compared to the national or the larger accounts because usually, larger accounts, they use CMS systems to optimize how they're moving the freight.

現在，就它們對宏觀環境的反應而言，它們大致相同。我的意思是，您通常在本地帳戶中看到的是，在較軟的宏觀中，與全國或較大的帳戶相比，該頻道中的每批貨物的重量下降得比在強大的宏觀中更高，因為通常較大的帳戶，他們使用CMS 系統來優化他們的貨運方式。

From a local perspective, you can imagine, if you had a local manufacturer, as an example, they might be shipping typically 2,000 pounds in a pallet in a strong economy; and in a soft economy, they might be shipping less product, it could be 1,000 pounds of pallet. So it depends on the -- the economy impacts weight per shipment more on the local channel. But we do expect in the cycle recovery both to grow meaningfully and be tailwinds, especially on the local side for tonnage and ultimately margins as well.

從當地的角度來看，您可以想像，如果您有當地製造商，例如，在經濟強勁的情況下，他們通常可以在一個托盤中運輸 2,000 磅；在經濟疲軟的情況下，他們可能會運送更少的產品，可能是 1,000 磅的托盤。因此，這取決於－經濟對本地通路的每批貨物的重量影響更大。但我們確實預計，在周期復甦中，雙方都會實現有意義的成長，並成為順風車，尤其是在本地噸位和最終利潤方面。

Understood. Thank you.

明白了。謝謝。

Jason Seidl, TD Cowen & Company.

Jason Seidl，TD Cowen & Company。

Thank you, operator. Mario, you still talked a little bit about a sluggish backdrop, but some others have noted some green shoots along the way. I was wondering if you can give us a little bit more color about the demand function and what your customers are telling you what to expect in the back half of the year. And then just looking also for a clarification, the 8% renewal rate, what percent of the overall business did that cover?

謝謝你，接線生。馬裡奧，你仍然談到了低迷的背景，但其他一些人已經注意到一路上的一些萌芽。我想知道您是否可以給我們更多關於需求函數的信息，以及您的客戶告訴您下半年的預期。然後還要澄清一下，8% 的續約率，佔整體業務的百分比是多少？

Yeah. I'll start first. And I'll turn it over to Kyle for the renewal side. But in terms of the backdrop, Jason, we're seeing, again, stable macro but soft demand, a continuous soft demand. So what we're hearing from customers, we usually survey our large customers every quarter. And this time, for the back half of the year, about half of them said they expect things to be flattish in the back half. And the other half was split equally between folks who expected some pickup versus folks who were expecting a bit of a decline as well. So on a net-net basis, we are expecting a flattish-type demand environment in the back half of the year.

是的。我先開始吧。我會將其交給凱爾進行續約。但就背景而言，傑森，我們再次看到宏觀穩定但需求疲軟，需求持續疲軟。因此，我們通常每季都會對我們的大客戶進行調查。而這一次，對於今年下半年，大約一半的人表示，他們預計下半年情況將會持平。另一半則平均分配給預計會回升的人和預計會下降的人。因此，從淨值來看，我們預計今年下半年的需求環境將持平。

Now, in terms of green shoots, there are certain scenarios, if you look at the retail side, the fact that retailers have -- are largely done with destocking and their inventories are in a good place. You could see with easier comps compared to last year, peak season to be slightly stronger on the retail side. And same thing on the industrial side, we are seeing some subsectors where we potentially could see strength heading into the back half of the year as well.

現在，就復甦的萌芽而言，有一些特定的情況，如果你看看零售方面，事實上零售商已經在很大程度上完成了去庫存，並且他們的庫存處於良好狀態。與去年相比，您可以看到，與去年相比，旺季零售的表現略強。在工業方面也是如此，我們看到一些子行業在今年下半年也可能表現強勁。

But I think, currently, we're not seeing a lot of green shoots that are showing a meaningful inflection point of demand, but we'll see where things go from here. I do think that the Fed lowering rates could be a stimuli for consumer confidence, increasing retail and stimulate spending on the industrial side as well. But we'll see what that materializes like in the fourth quarter.

但我認為，目前我們還沒有看到很多顯示出有意義的需求拐點的萌芽，但我們將看看事情的發展方向。我確實認為聯準會降息可能會刺激消費者信心，增加零售並刺激工業方面的支出。但我們將在第四季看到具體情況。

And then, Jason, on the renewal -- sorry. And Jason, from the 8%, that covers about a quarter of our contractual book. And just a little more color on renewals, renewals have been strong now for four consecutive quarters in that high-single-digit range. Our expectation for Q3 is we should come in at a similar range what we've seen so far in the first half.

然後，傑森，關於續約——抱歉。Jason，來自 8%，涵蓋了我們合約書的大約四分之一。續訂量現在已經連續四個季度保持在高個位數範圍內，表現強勁。我們對第三季的預期是我們應該處於與上半年迄今所看到的類似的範圍內。

Perfect. Appreciate the time, guys.

完美的。珍惜時間，夥計們。

Thank you.

謝謝。

Jordan Alliger, Goldman Sachs.

喬丹·阿利格，高盛。

Yeah. Hi. Morning. Just obviously done a real good job with LTL 2.0. I'm just curious, longer term, over the next several years, you're several quarters into this, if not more, at this point, new terminal openings. How do you think about the benefits you've derived? And when we get back to a better demand footing, manufacturing and otherwise, can you maybe talk to what you're thinking in terms of incremental margin potential over the next several years? Thanks.

是的。你好。早晨。顯然 LTL 2.0 做得非常好。我只是好奇，從長遠來看，在接下來的幾年裡，你已經有幾個季度了，甚至更多，在這一點上，新的航站樓開放。您如何看待您所獲得的好處？當我們回到更好的需求基礎、製造和其他方面時，您能否談談您對未來幾年增量利潤潛力的看法？謝謝。

If you take a step back in terms of where we are now versus the overall demand environment, if you look in our industry at all the publicly traded LTL carriers, shipment count is down from 2021 to 2023 by roughly about 12%. Now, a lot of times I hear the feedback that this was the post-COVID run-up in 2021. But in LTL specifically, 2021 was softer than pre-COVID. So when you compare 2018, 2019 to 2023 as a full year, shipment count in our industry was down in the mid-teens. And this is an industry that has historically grown in the low- to mid-single digit range, commensurate with the IP, but higher than the IP.

如果你退後一步，看看我們現在的處境與整體需求環境相比，如果你看看我們行業中所有公開交易的零擔運輸公司，你會發現2021 年到2023 年的發貨量大約下降了12 % 左右。現在，我很多次聽到這樣的回饋：這是 2021 年新冠疫情後的加速時期。但特別是在零擔運輸方面，2021 年的情況比新冠疫情爆發前更為疲軟。因此，當你將 2018 年、2019 年和 2023 年全年進行比較時，我們行業的出貨量下降了十幾歲。這是一個歷史上一直在中低個位數成長的行業，與IP相當，但高於IP。

So when you think of a cycle inflection, that's going to be a massive tailwind, both in terms of tonnage and volumes and in terms of pricing as well because you won't have enough capacity in our industry. Now, you see a lot of those capacity additions, but Yellow was about 10% of the industry capacity, and only half of that capacity is coming back into the market by next year. So the next cycle is shaping up to be a very strong cycle for LTLs across the board.

因此，當你想到週期拐點時，無論是在噸位、數量或定價方面，這都將是一個巨大的順風，因為我們的行業沒有足夠的產能。現在，您會看到大量新增產能，但黃色產能約佔產業產能的 10%，到明年只有一半產能重新回到市場。因此，對於零擔運輸來說，下一個週期將是一個非常強勁的週期。

Now, when you think about our execution, we've been able to execute very well on the plan, and we're going to continue to execute very well on the plan. And you look over the last three quarters, we've delivered nearly 400 basis points of OR improvement quarter-after-quarter. And you look at the next cycle, we expect also very strong performance over the years to come.

現在，當你考慮我們的執行情況時，我們已經能夠很好地執行計劃，並且我們將繼續很好地執行計劃。看看過去三個季度，我們的 OR 逐季改善了近 400 個基點。看看下一個週期，我們預計未來幾年也會有非常強勁的表現。

Now, in terms of incremental margins, we do expect them to change depending on what quarter it is and how much of the revenue growth is coming from yield versus volume and how well we do on the cost side. But just to give you an example, here in the third quarter, we are expecting incremental margin more than 60% in what is a very soft freight environment. So again, we see massive upside here. And we're going to get to the low 80s from an OR perspective, then we're going to get to the 70s and go from there. So that's how we think about the trajectory we're going to be on over the years to come.

現在，就增量利潤而言，我們確實預計它們會發生變化，這取決於哪個季度、收入成長有多少來自產量與銷售以及我們在成本方面的表現。但僅舉個例子，在第三季度，我們預計在貨運環境非常疲軟的情況下，增量利潤率將超過 60%。因此，我們再次看到了巨大的上漲空間。從 OR 的角度來看，我們將到達 80 年代，然後我們將到達 70 年代，並從那裡開始。這就是我們對未來幾年的發展軌跡的看法。

Thanks.

謝謝。

Eric Morgan, Barclays.

艾瑞克摩根，巴克萊銀行。

Hey. Good morning. Thanks for taking my question. I wanted to ask on CapEx. Your average fleet age is down to four years. I think in the past, you mentioned a target of four to five years. Maybe you could just clarify that? And then just given the fleet age, just wondering, next year, you would expect to come back into that 8% to 12% range and maybe what some of the priorities might be. I know it's kind of early, but just given that the fleet is in better shape at this point.

嘿。早安.感謝您提出我的問題。我想問一下資本支出。您的平均機隊年齡已降至四年。我想您過去提到了四到五年的目標。也許你可以澄清一下？然後考慮到機隊年齡，只是想知道明年，您預計會回到 8% 到 12% 的範圍，也許一些優先事項可能是什麼。我知道現在還為時過早，但考慮到目前艦隊的狀況較好。

Yeah, Eric. So long-term target on fleet age is still 4.5 years. And when you think about CapEx this year as a percent of revenue, from an LTL standpoint, we're looking around 13%. I think next year, you're going to normalize and come down. So certainly, as we bring the Yellow service centers online, that will help us reduce that number a bit.

是的，埃里克。因此，機齡的長期目標仍是4.5年。當你考慮到今年的資本支出佔收入的百分比時，從 LTL 的角度來看，我們的預期約為 13%。我想明年，你會恢復正常並下降。當然，當我們將黃色服務中心上線時，這將幫助我們稍微減少這個數字。

And then when you think about some of the insourcing efforts, as those slow a bit as we get through our goals there, that will help reduce the number as well. So I think you're probably down 1 point or 2 points when you think on a percent of revenue basis.

然後，當你考慮一些內包工作時，隨著我們實現目標，這些工作會放緩一些，這也將有助於減少數量。因此，我認為當您以收入百分比為基礎進行思考時，您可能會下降 1 或 2 個百分點。

From a prioritization standpoint, when you think about our CapEX, obviously, the majority across the company goes to LTL. And within LTL, we'll prioritize continued fleet investments and then continued investments in real estate.

從優先順序的角度來看，當你考慮我們的資本支出時，顯然，公司的大部分都用於零擔運輸。在零擔運輸方面，我們將優先考慮持續的車隊投資，然後是持續的房地產投資。

All right. Thank you.

好的。謝謝。

Kevin Gainey, Thompson, Davis & Company.

凱文蓋尼，湯普森戴維斯公司。

Hey, gentlemen. Good morning. Congrats on the great quarter. Maybe to take a different approach here, I was wondering if we could maybe talk through some of the kind of internal initiatives that you guys have done from a wage perspective and employee management. And I know, Mario, previously, you've talked about like employee satisfaction and stuff like that. How is that affecting like retention labor outlook and how you spend? As another point, maybe if you could break out kind of the bonus compensation or at least percentage-wise, maybe what salaries and wages was for the quarter?

嘿，先生們。早安.恭喜這個偉大的季度。也許在這裡採取不同的方法，我想知道我們是否可以討論一下你們從薪資角度和員工管理所做的一些內部舉措。我知道，馬裡奧，您之前曾談到過員工滿意度之類的問題。這對保留勞動力前景以及您的支出方式有何影響？另一點，也許您可以分解獎金補償的種類，或至少按百分比劃分，也許該季度的薪水和工資是多少？

Sure. So starting with wages, our goal is always make sure that our employees are very well compensated. And we have given above-market wage increases here this year that were effective at the beginning of the second quarter, which were in the mid-single-digit territory for our employees, for dockworker, drivers, et cetera.

當然。因此，從薪資開始，我們的目標始終是確保我們的員工獲得良好的報酬。今年我們的薪資漲幅高於市場水平，並於第二季初生效，我們的員工、碼頭工人、司機等的薪資漲幅在中個位數範圍內。

And in terms of employee satisfaction, if I think about the foundation of our plan, of our strategy, a lot of it goes back to two foundational elements. One is around customers and making sure we are providing the best customer satisfaction possible. And the second one is around making sure that we have the most satisfied employees in the industry, that they know we support them, we listen to them. Whether it's myself or Dave or our operators in the field or Anthony or Kyle, the whole company, we spend a lot of time in the field where we are in service centers, sitting in break rooms, talking to drivers, talking to dockworkers because they are the folks who keep the freight moving for our customers. And we take that very seriously.

就員工滿意度而言，如果我考慮我們計劃和策略的基礎，很多都可以追溯到兩個基本要素。一是圍繞著客戶，確保我們提供盡可能最好的客戶滿意度。第二個是確保我們擁有業內最滿意的員工，他們知道我們支持他們，我們傾聽他們的意見。無論是我自己、戴夫還是我們在現場的操作員、安東尼或凱爾，整個公司，我們花了很多時間在服務中心的現場，坐在休息室裡，與司機交談，與碼頭工人交談，因為他們是那些為我們的客戶維持貨運的人。我們非常重視這一點。

Now, over the last two years, our employee satisfaction has gone up in a similar trajectory as we've seen our customer satisfaction and our service improvements. And it's been hitting company records quarter-after-quarter. And we're very proud of the progress we're making in overall employee engagement across the board.

現在，在過去的兩年裡，我們的員工滿意度隨著我們的客戶滿意度和服務改進而以類似的軌跡上升。而且每季都在刷新公司記錄。我們對我們在員工整體敬業度方面所取得的進步感到非常自豪。

In terms of incentive compensation, the way we look at it, it's based on a combination of things depending on where you are in the business, but it's a combination of OR improvement, a combination of revenue growth, and a combination of service improvements and hitting stretch goals. And we also have localized incentive plans. We call it the Gladiator program that whenever a service center hits a stretch goal of improving quality, of reducing damages, also we give monthly incentive and we do a whole cookout for all the employees at the location to celebrate the fact that we're taking care very well of customers' freight. So that's another foundational element of our strategy that we usually don't talk about it. We're very proud of the progress we're making there as well.

就激勵薪酬而言，我們看待它的方式是基於多種因素的組合，具體取決於您在業務中所處的位置，但它是OR 改進的組合、收入增長的組合以及服務改進和績效的組合。我們還有在地化的激勵計畫。我們稱之為角鬥士計劃，每當服務中心實現提高品質、減少損失的延伸目標時，我們也會每月給予獎勵，並為該地點的所有員工舉辦一次野餐活動，以慶祝我們正在採取的行動非常關心顧客的貨運。這是我們策略的另一個基本要素，但我們通常不會談論它。我們也對我們在那裡取得的進展感到非常自豪。

Appreciate the color.

欣賞顏色。

Thank you.

謝謝。

This concludes the question-and-answer session. I would like to turn the floor back over to Mario Harik for closing comments.

問答環節到此結束。我想請馬裡奧·哈里克（Mario Harik）發表結束評論。

Thank you, operator. And thanks all for joining us today. We're continuing to move forward from a position of strength, following a strong first half of the year. And we'll be sharing more progress with you each quarter. Operator, you can now end the call. Thank you.

謝謝你，接線生。感謝大家今天加入我們。繼今年上半年的強勁表現之後，我們將繼續以強勢地位向前邁進。每個季度我們都會與您分享更多進展。接線員，您現在可以結束通話了。謝謝。

Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

謝謝。今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。